Hyundai Motor Securities (A001500) Q2 2024 earnings summary

Executive summary

• For the half-year ended June 30, 2024, reported revenue was ₩909.4 billion, with net income of ₩25.2 billion, down 43% year-over-year due to weaker IB and asset management performance.

• Operating profit was ₩32.6 billion, a 50% decrease from the prior year, reflecting challenging market conditions and increased costs.

• The company maintained a strong capital position, with a net capital ratio of 486.04% and a debt-to-asset ratio of 112.6%.

Financial highlights

• Revenue for H1 2024 was ₩909.4 billion, down from ₩1,582.2 billion in H1 2023.

• Net income was ₩25.2 billion, compared to ₩43.7 billion in the prior year.

• Operating profit margin declined to 3.6% from 7.2% year-over-year.

• EPS (basic) was ₩747, down from ₩1,595 in H1 2023.

• Asset base grew to ₩12,121.3 billion, up from ₩11,585.3 billion at 2023 year-end.

Outlook and guidance

• Management expects continued pressure on IB and asset management due to real estate PF and overseas exposure risks.

• Focus remains on risk management, liquidity, and diversification of revenue streams.

• The company aims to strengthen digital and fee-based businesses for future growth.